US-Iran Deal Impact: What Trump says about gasoline (petrol) rates despite oil crash

Latest on US-Iran Truce: US President Donald Trump on Wednesday accused major oil companies of failing to pass on the benefits of a crash in benchmark oil rates to American consumers. He directed the US Department of Justice (DOJ) to examine the issue. His move comes at a time when global energy markets continue to assess the implications of a breakthrough in US-Iran talks, and signs that oil and gas flows in the Middle East could normalise following an interim pact between Washington and Tehran.

He took to social networking site Truth Social to states that oil producers are not cutting retail fuel rates at a pace consistent with the sharp decline in crude oil prices. "The big Oil Companies are not dropping their price at the pump commensurate with the sharply lower prices they are paying for Oil. Those prices are dropping like a rock!" the POTUS posted.

He also alleged that consumers are being "gouged" even as input costs are falling. "I have instructed the DOJ to immediately start looking into this. Gasoline (petrol) prices better start going down a lot faster than what I'm seeing!" he said.

Trump's latest comments follow growing expectations that easing geopolitical tensions linked to the Middle East conflict could help reduce risk premiums attached to crude oil prices over the past few months. He made these remarks days after the US and Iran agreed to an interim truce that markets are pinning hopes could lead to a permanent solution between both nations.

International energy markets have remained highly sensitive to developments surrounding the Strait of Hormuz -- a crucial maritime region that has been central to the West Asia conflict -- and broader tensions in the region over recent months.

Crude oil benchmark Brent was last seen trading 1.9 per cent lower at $75.6 per barrel, having gyrated in a range of $75.6-77 a barrel earlier in the day. At current levels, the oil benchmark is trading at a 40 per cent discount to a nearly four-year high recorded in April.

Qatar prepares to restore natural gas production

Qatar signalled that regional energy markets may be moving towards normalisation. According to foreign media reports, the Qatari Prime Minister said the Gulf nation is preparing to resume normal production of liquefied natural gas (LNG) following the signing of the interim agreement between the US and Iran.

Analysts say any return to normal output levels could further ease concerns about energy supply disruptions going forward.

Qatar remains one of the world's largest LNG exporters.

What Trump said about Iran inspections and Hormuz

Trump's latest remarks on fuel prices follow a series of statements this week highlighting progress in negotiations with Tehran.

On Tuesday, the American president claimed that Iran had "fully and completely agreed" to extensive nuclear inspections and verification measures designed to ensure what he described as "nuclear honesty" long into the future. "Iran has fully and completely agreed to highest level Nuclear inspections long into the future," Trump wrote.

He also suggested that the proposed inspection framework would remain a central pillar of any final settlement and argued that there would be no further negotiations without such commitments from Tehran.

Why the Strait of Hormuz matters

The Strait of Hormuz remains one of the world's most important energy chokepoints, linking the Gulf of Oman with the Persian Gulf and the Arabian Sea. The narrow maritime corridor normally facilitates the movement of roughly one-fifth of global oil and gas supplies. As a result, any threat to shipping in the region tends to have a direct impact on global crude prices and broader energy markets.

Market participants have therefore closely followed developments surrounding the proposed US-Iran agreement, particularly provisions aimed at ensuring uninterrupted energy supplies and commercial shipping through the waterway.

JD Vance says 'great progress' made

Trump's comments also come days after US Vice President JD Vance described recent negotiations in Switzerland as making "great progress" towards a final agreement. Following nearly 18 hours of discussions between American and Iranian negotiators, Vance said the talks had created a "very good foundation" for a broader settlement.

Vance indicated that Iran had agreed in principle to allow international inspectors to return under a future verification arrangement, reinforcing Trump's recent assertions regarding inspections and compliance mechanisms.